NOW TO THE LATEST ON THE SHUTDOWN SHOWDOWN. HUNDREDS OF THOUSANDS OF FURLOUGHED PENTAGON EMPLOYEES WILL RETURN TO WORK TODAY. HALLIE JACKSON JOINS US LIVE FROM WASHINGTON HALLIE THAT'S ONE OF THE ONLY BRIGHT SPOTS FROM WASHINGTON - AS THE GOVERNMENT SHUTDOWN CONTINUES. IT'S A DOUBLE DOSE OF OMINOUS NEWS - NOT ONLY DOES IT APPEAR THE U-S IS NO CLOSER TO THE END OF A GOVERNMENT SHUTDOWN - BUT THE COUNTRY SEEMS TO BE STEPPING TOWARD THE EDGE OF ITS FIRST-EVER DEFAULT. PKG. SCRIPT) "AT THAT POINT I HAVE NOTHING ELSE IN THE DRAWER" TREASURY SECRETARY JACK LEW IS SOUNDING THE ALARM. "CONGRESS CAN AND SHOULD ACT" WARNING OF CONSEQUENCES IF THE U-S RUNS OUT OF MONEY TO PAY ITS BILLS IN LESS THAN TWO WEEKS. JACK LEW/TREASURY SECRETARY "I'M TELLING THAT YOU THAT ON 17TH WE RUN OUT OF OUR ABILITY TO BORROW, AND CONGRESS IS PLAYING WITH FIRE." HOUSE SPEAKER JOHN BOEHNER WANTS ANY DEAL TO RAISE THE SO-CALLED "DEBT CEILING" LINKED TO CONCESSIONS, LIKE SPENDING CUTS - AND CHANGES TO THE PRESIDENT'S HEALTH CARE LAW. REP. JOHN BOEHNER/HOUSE SPEAKER "THE VOTES ARE NOT IN THE HOUSE TO PASS A CLEAN DEBT LIMIT. AND THE PRESIDENT IS RISKING DEFAULT BY NOT HAVING A CONVERSATION WITH US. ANALYSTS WARN A DEFAULT COULD TRIGGER AN ECONOMIC CRISIS. MARC SANDALOW/POLITICAL ANALYST "IT COULD ALSO BE A CALAMITY - PEOPLE TALK ABOUT A DEPRESSION, THIS WOULD BE A MAJOR CHANGE OF LIFE FOR ALMOST ALL AMERICANS." SOME IN CONGRESS SEE A DEAL TO RAISE THE DEBT CEILING - TYING INTO IN A DEAL TO END THE GOVERNMENT SHUTDOWN - WHICH IS NEARLY A WEEK OLD. SEN. JOHN CORNYN/ TEXAS THE CONTINUING RESOLUTION HAS NOW BECOME PART OF THE DEBT CEILING NEGOTIATION." NATIONAL PARKS REMAIN CLOSED. MANY GOVERNMENT SERVICES - STILL ON HOLD BUT A VOTE OVER THE WEEKEND PUT FURLOUGHED FEDERAL EMPLOYEES ONE STEP CLOSER TO GETTING BACK PAY - ONCE ALL THIS GETS RESOLVED. THE QUESTION IS - HOW WILL IT END - AND WHEN? 'IF I KNEW, I'D TELL YOU" AFTER THAT HOUSE VOTE SATURDAY, THE SENATE'S EXPECTED TO VOTE THIS WEEK TO PAY GOVERNMENT WORKERS FOR THE DAYS THEY'RE MISSING - SOMETHING THE PRESIDENT SUPPORTS. IN WASHINGTON, I'M HALLIE JACKSON REPORTING. SO HALLIE, LAY OUT THE POSSIBLE OUTCOMES HERE. WHAT COULD HAPPEN? -ACCORDING TO POLITICAL OBSERVERS, SEVERAL OPTIONS. -ONE: BOEHNER COULD ALLOW VOTE TO REOPEN GOVERNMENT AND RAISE DEBT CEILING - WHICH WOULD BE SUPPORTED BY DEMOCRATS BUT MAY CAUSE REVOLT AMONG CONSERVATIVE REPUBLICANS AND LOSE HIM THE SPEAKERSHIP -TWO: PRESIDENT COULD NEGOTIATE ON REPUBLICANS' DEMANDS - BUT DEMOCRATS THINK THAT WON'T HAPPEN - THREE: "BABY BARGAIN" OR "GRAND BARGAIN" - IE, BOTH SIDES GIVE A LITTLE OR A LOT ON THINGS LIKE TAXES, SPENDING, HEALTH CARE. -FOUR: GOVERNMENT DEFAULT. WATCH THE MARKETS IF THAT HAPPENS.